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Hydrogen Projects in Italy: Next Steps

Italian investments
 
At the end of 2021, the Italian Ministry of Ecological Transition (“Ministero per la Transizione Ecologica” – MiTE) has launched a bidding procedure directed to Regions and Local entities and aimed at funding projects to convert disused industrial areas into centers for the production and distribution of “green” hydrogen. The bidding notice was made public through publication in the Italian Official Gazette only on 27 January 2022. The projects will be financed with the funds of the National Recovery and Resilience Plan (“NRRP”) – which provides for a total investment of Euro 500 million – and must be completed by 2025.
 
Moreover, on 11 February 2022, the Italian MiTE has issued a press release in which it announced that it soon would have executed a Program Agreement with ENEA (National Agency for New Technologies, Energy and Sustainable Economic Development) covering research and development activities on hydrogen, through the National Recovery and Resilience Plan (“NRRP”) funds.
 
About Euro 110 million will be devolved to the Program Agreement with ENEA in order to carry out – throughout the next three years – specific research and development activities, in collaboration with research bodies as beneficiaries[1].
 
Furthermore, the Italian MiTE is about to launch two tenders for research and development on hydrogen. The first will devote around Euro 20 million to research bodies and universities, while the second will devote around Euro 30 million to private subjects, likely including Italian and non-Italian companies.
 
Hydrogen valleys and other projects
 
Italy is already a leading player in the transition-to-hydrogen scene with a significant number of initiatives, including several projects related to the creation of hydrogen valleys. For the time being, in the European Hydrogen Valley map, Italy is only present with the Brenner Valley. However, it is reasonable to expect that other projects – such as those planned in the Po Valley and the hydrogen valley railway (“H2iseO”), projected by FNM group to produce and distribute hydrogen to Alstom’s fuel cell-powered trains – will also be included soon.
 
Perspectives
 
With the proper investment support, the development of new technologies, and strategic partnerships, the hydrogen market will be able to acquire a key position on the global energy market within the next 10-15 years. Italy is already working towards this goal.
 
According to the Italian Ministry of Economic Development (“MISE”), to kick-start the low-carbon hydrogen economy in Italy and meet the hydrogen penetration energy demand target, up to Euro 10 billion of investment would be required between 2020 and 2030. This amount would subsidize hydrogen production, distribution and consumption facilities, R&D investments, and infrastructure (such as gas networks)[2].
 
The reason behind these and other initiatives is, first and foremost, that investing in renewable energies means building the country's energy independence.

  

[1] In particular, in collaboration with CNR (National Research Council) and RSE (Research on the Energy System, a research company controlled by the Italian Gestore Servizi Energetici).

[2] “Ministero dello Sviluppo Economico, Strategia Nazionale Idrogeno - Linee Guida Preliminari” available at https://www.mise.gov.it/.

Authors

Portrait ofMassimo Trentino
Massimo Trentino
Partner
Rome
Portrait ofValerio Giuseppe Daniele
Valerio Giuseppe Daniele
Associate
Rome
Portrait ofArianna Toccaceli
Arianna Toccaceli
Junior Associate
Rome